2. Board of Trustees State Institutions of Higher Learning (IHL) and the State Board for Community and Junior Colleges (CJC) American Recovery and Reinvestment Act (ARRA) of 2009 October 5, 2009 Workshop 2

3. Cheryl Mowdy, Director Support Operations Finance and Administration Mississippi Institutions of Higher Learning Deborah Gilbert, Associate Executive Director for Finance and Administration State Board for Community & Junior Colleges October 5, 2009 3 Speakers

4. Today’s Guest Speaker Samantha Atkinson, Director Performance Audit Division Mississippi Office of the State Auditor

5. Agenda Section 1512 Reporting o Definitions o Who does what for ARRA reporting? o Registration Requirements o Guidelines  Report Due Dates  Using the Excel Templates  Prime Recipient  Sub-Recipient  Vendors October 5, 2009 5

6. Agenda Job Creation/Retention Reporting Procurement Requirements Documentation Other ARRA Requirements Financial Aid Contact Information October 5, 2009 6

7. ARRA SECTION 1512 REPORTING October 5, 2009 7

8. Section 1512 Reporting answers the following questions: –Who is receiving Recovery Act dollars and in what amounts? –What projects or activities are being funded with Recovery Act dollars? –What is the completion status of such projects or activities and what impact have they had on job creation and retention? October 5, 2009 8

9. FederalReporting.gov Central nationwide data collection system for federal agencies and recipients of federal awards under Section 1512 of the Recovery Act. October 5, 2009 9

10. ARRA Types I. State Fiscal Stabilization Funds (SFSF) - Flows through the IHL/CJC Board Offices to the Universities and Colleges II. Other ARRA - Direct awards issued to the universities and colleges from federal agency or via a pass-through entity October 5, 2009 10

11. What programs are subject to ARRA Section 1512? In order to determine the federal programs subject to ARRA Section 1512 reporting requirements a link has or will be established on IHL/CJC’s Stimulus home pages: http://www.whitehouse.gov/omb/assets/ memoranda_fy2009/m09-21-supp1.pdf October 5, 2009 11

12. Definitions October 5, 2009 12

13. ARRA Definitions Prime Recipient – Recipient of funds directly from a federal agency. Office of the Governor- State of Mississippi = Prime Recipient of State Fiscal Stabilization Funds (SFSF) October 5, 2009 13

14. ARRA Definitions Sub-Prime or Sub-Allocant – When a State agency, as the Prime Recipient awards a grant to another State agency. IHL/CJC Board Office = Sub-Prime for the SFSF October 5, 2009 14

15. ARRA Definitions Sub-Recipient – non-federal entity that expends federal awards received from another entity to carry out a federal program but does not include an individual who is a beneficiary of such a program. Institutions/Colleges = Sub-Recipient for SFSF October 5, 2009 15

16. ARRA Definitions Vendor – Dealer, distributor, merchant, or other seller providing goods or services that are required for the conduct of a federal program. Payments issued by institutions or colleges to an external entity for the purchase of contractual services, commodities or equipment. October 5, 2009 16

17. SFSF FLOW OF FUNDS U.S. Department of Education = Funding Agency Governor via MS Department Finance & Administration = Prime Recipient IHL/CJC Board Office = Sub–Prime or Sub-Allocant Universities/ Colleges =Sub Recipients October 5, 2009 17

18. Who does What to Satisfy Section 1512 Reporting? October 5, 2009 18

19. SFSF Section 1512 Reporting 1.Institutions/Colleges submit specified information to the IHL/CJC Board Offices 2.IHL/CJC Board Office will compile and review data 3.IHL/CJC Board Office emails report to designated contacts at DFA 3.DFA submits report to www.federalreporting.gov and Stimulusreports@governor.state.ms.uswww.federalreporting.gov Stimulusreports@governor.state.ms.us October 5, 2009 19

20. OTHER ARRA Section 1512 Reporting Institutions and Colleges satisfy Section 1512 reporting associated with all OTHER ARRA Funds (non-SFSF) Reports must be emailed to the following: www.federalreporting.gov andwww.federalreporting.gov Stimulusreports@governor.state.ms.us andStimulusreports@governor.state.ms.us Stimulusreports@mississippi.edu (IHLs)Stimulusreports@mississippi.edu Stimulus@mscjc.edu (CJCs)Stimulus@mscjc.edu October 5, 2009 20

21. Registration Requirements October 5, 2009 21

22. Preliminary Steps 1.Conduct a DUNS Number Review 2.Register at the Central Contractor Registration (CCR) Database: www.ccr.govwww.ccr.gov 3.Register at Federal Reporting (applicable to non SFSF): www.FederalReporting.Govwww.FederalReporting.Gov October 5, 2009 22

23. III. Federal Reporting Registration After accessing www.FederalReporting.Gov, refer to left-hand side of screenwww.FederalReporting.Gov Not Registered? Click: Will be prompted for personal information Email address will serve as the User ID Will receive a temporary password via email October 5, 2009 23 Register Now

24. I. DUNS Number REVIEW Conduct a thorough review related to your institutions/colleges’ Dun and Bradstreet (D-U-N-S) number, which is the nine-digit unique identification number established for your institution/college and/or a particular unit or branch of the institution or college. October 5, 2009 24

25. II. CCR Registration Make sure your institution/college is registered at FederalReporting.Gov A one-time registration must be completed in order to submit reporting data to FederalReporting.Gov. Submission of reporting data began on October 1, 2009. October 5, 2009 25

26. Section 1512 Reporting Guidelines October 5, 2009 26

27. ARRA Section 1512 Reporting: Is DIFFERENT from routine federal reporting. Is required for EACH ARRA award. Is not a substitute/replacement for regular funding agency reports; rather they are IN ADDITION to these reports. Is required for any ARRA funded award once in receipt of the award. If no funds have been expended but the award document is received, must report zero as expended. October 5, 2009 27

28. ARRA Section 1512 Reporting Is to be cumulative. For the quarter ending, the first 10 days of the following month are allowed for submission the report. Edits and corrections to reported data are allowed; however, new data cannot be added. At the end of day 10, users will be locked out of the system and cannot make additional edits. October 5, 2009 28

29. ARRA Section 1512 Reporting At the end of the month, data will be posted to www.USASpending.Govwww.USASpending.Gov Failure to submit reports within the required time-frame is considered non- compliance and may be considered a violation of the award agreement resulting in repayment of funds. October 5, 2009 29

30. Report Due Dates October 5, 2009 30

31. Timeline and Activities- 1 st Quarter Phase 1 or First Quarter: October 1 - October 10 Recipients prepare reporting data Recipients submit report(s) by October 10 th SFSF will NOT be reported for first quarter. OTHER ARRA funds MUST be reported for first quarter. October 5, 2009 31

32. Timeline and Activities- 1 st Quarter Phase 2 or 2 nd Quarter: October 11 - October 21 Prime Recipients review data submitted by their Sub Recipients Prime and Sub Recipients work together through any potential report corrections Awarding Agencies have access to view reports submitted by Recipients Phase 3 or 3 rd Quarter: October 22 - October 29 Awarding Agencies review Recipient reports submitted (or updated in Phase 2) and provide comments as necessary on select reports Prime Recipients and Sub Recipients work together on corrections identified/comments made by the Awarding Agencies Phase 4: October 30 Recipient reports available on Recovery.gov October 5, 2009 32

33. Due Dates 2nd Quarter Due Date = January 10, 2010 Covers reporting period October 1, 2009 - December 31, 2009 3 rd Quarter Due Date = April 10, 2010 Covers reporting period January 1, 2010 – March 31, 2010 4 th Quarter Due Date = July 10, 2010 Covers reporting period April 1, 2010 – June 30, 2010 October 5, 2009 33

34. Steps for 1512 Reporting 1.www.federalreporting.Govwww.federalreporting.Gov 2. See Download Templates (far-left hand side of screen) 3. Select 4. Open the Federal Reporting Template-Grants and Loans. Do NOT use the Template for Contracts. October 5, 2009 34 Microsoft Excel

35. Using the Excel Templates Deborah Gilbert, Associate Executive Director for Finance & Administration State Board for Community & Colleges October 5, 2009 35

36. Section 1512 Report Reminders for SFSF DFA will complete the Prime Recipient Excel Template for the SFSF Funds Institutions/Colleges will complete the Sub-Recipient and Vendors Excel Templates for SFSF and submit to the IHL/CJC Board Offices October 5, 2009 36

37. Section 1512 Report Reminders for SFSF Important Caveats regarding SFSF sub-recipient reporting (previous slide): If sub-awards are made to individuals, such as scholarship awards paid to students, it will be necessary to also complete a section of the Prime Recipient work-sheet within the approved Excel templates. If jobs are created or retained, such as adjunct faculty or instructors in which SFSF funds a portion or all of salaries, it will be necessary to complete the Project Information (jobs section) of the Prime Recipient work-sheet within the approved Excel templates. October 5, 2009

38. Section 1512 Report Reminders for OTHER ARRA Funds Institutions/Colleges will complete the Prime Recipient Excel Template for any funds in which they are a direct recipient of the federal award. NOTE: It is important to refer to individual award documents related to specific reporting instructions to ensure there is no duplicative reporting. October 5, 2009 38

39. Executive Compensation The names and total compensation of the five most highly compensated officers of the entity must be reported if: ► The entity received 80% or more of its annual gross revenues in the preceding fiscal year from Federal awards, AND ► The entity received $25,000,000 or more in annual gross revenues in the preceding fiscal year from Federal awards, AND ► The public does not have access to this information through the Securities and Exchange Commission as mandated by the Securities and Exchange Act of 1934 OR through Internal Revenue Service filings as mandated by Section 6104 of the Internal Revenue Code. Neither of these regulations apply to state agencies, but they may apply to sub recipients.

40. Using the Templates FederalReportingTemplate - Grants and Loans 10_2009.xls October 5, 2009

41. Job Creation/Retention Reporting Sam Atkinson, Director Performance Audit Office of the State Auditor October 5, 2009 41

42. Job Creation/Retention Reporting Prime recipients are required to report on all jobs they have created or retained due to ARRA Recipients will report direct job numbers using a standard calculation to get total FTEs for full and part-time employees Recipients will estimate job creation for grants, loans and contracts to another entity Recipients can go through a process to get permission from the federal government to use an alternate methodology October 5, 2009

43. Job Creation/Retention Reporting October 5, 2009

45. Alternative calculations based on percentages of activities is acceptable for recipients that must comply with OMB Circular A-21, Cost Principles for Educational Institutions o For an instructor on contract less than 12 months: consider the total hours worked during the school year as equivalent to 1 FTE even if the period is less than 12 months if the instructor is working pursuant to a contract that the recipient regards as full-time. o In this scenario an instructor may be reported as more than 1 FTE Job Creation/Retention Reporting October 5, 2009

46. Consider this example. The hypothetical full-time schedule for an instructor is to work 520 hours in quarters 1-3 then to work only 1 month in quarter 4 (173 hours). CHW Q1 Q2 Q3Q4 Full + Summer 52010401560 2080 Full–Time Schedule 52010401560 1733 FTE: 1.00 1.00 1.001.20 Job Creation/Retention Reporting

47. Documentation Cheryl Mowdy Director Support Operations Mississippi Institutions of Higher Learning October 5, 2009 47

48. Important Reminders Regarding Documentation All decisions must be reduced to writing. Work papers must be maintained to support Section 1512 elements. A working paper file is to be established for EACH ARRA award. Work papers must be orderly, accessible and auditable. October 5, 2009 48

49. Master Work Paper File Each sub-recipient should have a section with the master work paper file. Each vendor should have a section within the master work paper file. Report Reviewer’s checklist should become part of the master work paper file. October 5, 2009 49

50. Other Requirements October 5, 2009 50

51. Buy American Under ARRA Title XVI, Section 1605, no funds appropriated by the Act may be used for public buildings/work projects unless “all iron, steel and manufactured used…are produced in the United States. October 5, 2009 51

52. RFPs and Bid Notices All entities are required by State law to post RFPs and bid notices to the MS Development Authority Procurement Technical Assistance Program. As such, ensure ARRA funded projects follow suit. October 5, 2009 52

53. RFPs and Bid Notices RFPs and bid notices must be emailed to bids@mississippi.orgbids@mississippi.org As part of the email, provide appropriate contact information, opening and closing dates, and a brief description Refer to the following website to see information reported: http://www.mscpc.com/ProgramOffice/tabid/77/Default.aspx http://www.mscpc.com/ProgramOffice/tabid/77/Default.aspx Ensure documentation is maintained to support that ARRA funded projects are in compliance. October 5, 2009 53

54. Subcontracts issued with ARRA funding It is the Prime Recipient’s responsibility to pass down ARRA requirements as well as other pertinent regulations. Any subcontract agreements issued must stipulate ARRA compliance requirements. October 5, 2009 54

55. Compliance Requirements ARRA Allowable/Non-Allowable Activities Applicable Cost Principles Buy American (construction projects) Davis-Bacon Act (construction projects) Allowable Costs/Cost Principles Equipment and Real Property Management Procurement Suspension and Debarment Program Income October 5, 2009 55

56. Financial Aid October 5, 2009 56

57. Federal Work Study ARRA provided an additional $200 million in funding to Federal Work Study (FWS) program. In August 2009, the Office of Management and Budget added FWS to the list of programs subject to Section 1512 Reporting. October 5, 2009 57

58. Federal Work Study If an institution or college has received $25,000 or more in ARRA for FWS, the award is subject to Section 1512 reporting. October 5, 2009 58

60. Pell Grant As of this date, no special reporting requirements have been communicated regarding Pell Grant. October 5, 2009 60

61. Important Websites IHL website: Go to IHL’s home page and click on Stimulus Link: http://www.ihl.state.ms.us/stimulus/ http://www.ihl.state.ms.us/stimulus/ SBCJC website: Go to SBCJC’s home page and click on ARRA Stimulus Information: http://www.mscjc,edu/stimulus/ http://www.mscjc,edu/stimulus/ Governor’s website is considered official site for the State: www.stimulus.ms.gov R ecovery.gov : http://www.recovery.gov/http://www.recovery.gov/ Recovery.com October 5, 2009 61

62. Contact Information October 5, 2009 62 Cheryl Mowdy Director Support Operations cmowdy@mississippi.edu 601.432.6112 Deborah Gilbert Associate Executive Director for Finance & Administration dgilbert@mscjc.edu 601.432.6392

63. October 5, 2009 63 Questions